# Dollar surrenders to euro and yen as rate supremacy ends | Financial Post

> The dollar fell sharply against the yen and euro as U.S. Treasury yields dropped to record lows on coronavirus fears. Markets priced in a second 50 basis point Fed rate cut that month. The move erased the dollar's main carry advantage, and the euro gained 1.9% for the week.

- Date: 2020-03-05 · published 2020-03-05T12:00:00.000Z
- Category: macro · region Global · magnitude medium
- Page: https://feedsoft.ai/events/7150-dollar-surrenders-to-euro-and-yen-as-rate-supremacy-ends-financial-post
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

A weaker dollar and the loss of its carry advantage can reverse a dollar uptrend that began in mid-2018. A softer dollar typically supports dollar-priced commodities such as grains and oilseeds.

## Read by commodity

- DXY: bearish ▼
- EURUSD: bullish ▲
- USDJPY: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| EURUSD | 2020-03-06 | 5 | +2.9% | 4.4 | Record-low US Treasury yields and pricing of a 50bp Fed cut erased the dollar's carry advantage, directly driving EUR/USD higher within the window (euro +1.9% for the week). |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-11-08 | [Dollar slips as German bund yields strengthen euro \| Financial Post](https://feedsoft.ai/events/8201-dollar-slips-as-german-bund-yields-strengthen-euro-financial-post.md) | -2.6% | -2.8% |
| DXY | 2021-10-28 | [Dollar falls on euro strength after ECB meeting as rates move \| Financial Post](https://feedsoft.ai/events/44744-dollar-falls-on-euro-strength-after-ecb-meeting-as-rates-move-financial-post.md) | +0.6% | +2.5% |
| DXY | 2020-02-25 | [U.S. dollar falls as expectations of a Fed rate cut rise \| Financial Post](https://feedsoft.ai/events/54775-u-s-dollar-falls-as-expectations-of-a-fed-rate-cut-rise-financial-post.md) | -0.5% | +7.4% |
| DXY | 2026-07-29 | [ING Says Dollar to Take Cue from Oil Prices If Fed Holds Rate \| Financial Post](https://feedsoft.ai/events/18262-ing-says-dollar-to-take-cue-from-oil-prices-if-fed-holds-rate-financial-post.md) | -0.9% | -2.0% |
| DXY | 2020-04-22 | [Why the U.S. dollar's record-breaking surge will reverse by the end of this year - Financial Post](https://feedsoft.ai/events/53818-why-the-u-s-dollar-s-record-breaking-surge-will-reverse-by-the-end-of-this-year.md) | -0.4% | -1.1% |
| EURUSD | 2021-10-28 | [Dollar falls on euro strength after ECB meeting as rates move \| Financial Post](https://feedsoft.ai/events/44744-dollar-falls-on-euro-strength-after-ecb-meeting-as-rates-move-financial-post.md) | -0.1% | -2.6% |
| EURUSD | 2020-07-31 | [Euro's rise not 'brutal' enough, yet: Mike Dolan \| Financial Post](https://feedsoft.ai/events/52330-euro-s-rise-not-brutal-enough-yet-mike-dolan-financial-post.md) | +0.6% | +0.3% |
| EURUSD | 2019-12-12 | [Euro buoyed before ECB meeting as Fed forecast knocks dollar \| Financial Post](https://feedsoft.ai/events/55785-euro-buoyed-before-ecb-meeting-as-fed-forecast-knocks-dollar-financial-post.md) | +0.2% | +0.2% |

## Sources

- financialpost.com: https://financialpost.com/pmn/business-pmn/dollar-surrenders-to-euro-and-yen-as-rate-supremacy-ends

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.